Xian Aircraft (XAC) plans to licence-produce the ATR 72 turboprop aircraft have been thrown into doubt in the near term by the downturn in the Chinese air transport market raising further questions about the Chinese manufacturers future supply of work in the wake of the recent demise of the Sino-European AE31X joint venture.
"Duplication of an ATR 72 final assembly line by XAC has to be done in parallel with development of the market" cautions ATR chief executive Antoine Bouvier. "We have to be more confident when making a joint investment-this has to be justified by the market."
ATR former chief executive Patrick Gavin had said he intended to conclude a licence production agreement with XAC's parent group Aviation Industries of China (AVIC) by the end of 1997. Bouvier says that ATR would still welcome an agreement with China, but adds that it is a "question of pace."
The two sides opened talks on expanded industrial co-operation on the tail of China Xinjiang Airlines order for 10 ATR 72s. Local production was predicated on a Chinese airline requirement for 100 of the 64/74-seat turboprop over a 10-year period, while the 50-seat market would be reserved for the improved Xian Y7-200. XAC has been supplying outer wing boxes to ATR since 1986 and was recently made a single source supplier for the sub-assembly. ATR says it is now in the process of transferring fabrication of ATR 72 fuselage section 16 and the aft door to China.
Source: Flight International
